Sam Altman Says OpenAI’s Toughest Competitor Isn’t The One You Think

OpenAI CEO Sam Altman has made a surprising statement about the company’s competitive landscape, saying the industry has been looking in the wrong direction. According to him, Apple, not Google is now

OpenAI’s biggest rival. Altman’s comments come at a time when Apple has reportedly been aggressively hiring top AI talent across the industry. This has pushed OpenAI to re-evaluate its own strategy. Internally, the company recently issued a ‘code red’ memo, putting several ambitious, long-term projects on pause.The idea is simple - focus on strengthening ChatGPT before anything else. With Apple expanding its device-first AI ambitions and integrating more intelligence into its hardware ecosystem, OpenAI wants to ensure it remains competitive and relevant in the rapidly shifting landscape.While Google’s Gemini has gained momentum globally, adding more pressure on OpenAI, Altman believes the real long-term challenge comes from Apple’s tight control over hardware, software, and services.This is also why OpenAI is now focusing more on everyday users instead of only chasing big breakthroughs in artificial general intelligence (AGI). The company wants ChatGPT to appeal to the mass market and deliver features that directly improve user experience.As part of the ‘code red’, several experimental and futuristic projects have been paused. OpenAI will temporarily shift resources toward improving ChatGPT’s performance, stability, and usability.The move reflects Altman’s belief that getting the core product right and making it useful for millions of people is more important right now than exploring other areas. With new players rising and top engineers moving between companies, OpenAI wants to stay focused.Recognising Apple as its main competitor shows how seriously the company is treating the next wave of AI-powered devices. At the same time, doubling down on user engagement shows the need to stay ahead in a market that is evolving faster than ever.